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Klarna Claims AI Will Replace Workday. Unlikely Scenario But Points To A New Future. E183
Sep 13, 2024
Klarna plans to cut ties with major platforms like Workday to build its own AI tools, sparking debate. Many experts are skeptical, recalling past failures of companies attempting similar strategies. The discussion revisits the challenges of integrating AI into existing enterprise systems, particularly in HR tech. There’s a great emphasis on education and training in utilizing AI tools effectively. Could agentic AI represent the workforce of the future? This thought-provoking dialogue examines the implications for corporate IT infrastructures.
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Quick takeaways
- Klarna's attempt to build proprietary HR software from scratch raises doubts about the sustainability and effectiveness of moving away from established vendors like Workday.
- The rise of agentic AI presents opportunities to enhance HR systems, yet it will not immediately replace existing solutions, indicating a gradual integration process.
Deep dives
Challenges of Building Internal HR Software
Building proprietary HR software can lead to significant challenges for companies, as highlighted by Klarna's decision to replace Workday with their own AI tools. The episode discusses the financial implications of redirecting funds from user subscriptions to support internal development, which may not focus on core business objectives. Companies like Google and GE previously attempted this approach, only to realize the complexities and upkeep required led them back to established systems like Workday. This history suggests that working with industry-proven solutions is often more efficient than trying to create a custom version.
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